How the Nation Lost Interest in Its Craving for Pizza Hut

At one time, Pizza Hut was the favorite for parents and children to enjoy its eat-as-much-as-you-like offering, endless salad selection, and ice cream with toppings.

Yet a declining number of customers are visiting the restaurant currently, and it is shutting down a significant portion of its British restaurants after being bought out of administration for the second occasion this year.

I remember going Pizza Hut when I was a child,” says one London shopper. “It was like a family thing, you'd go on a Sunday – spend the whole day there.” However, at present, in her mid-twenties, she comments “it's not a thing anymore.”

According to a diner in her twenties, some of the very things Pizza Hut has been known and loved for since it opened in the UK in the 1970s are now less appealing.

“The way they do their all-you-can-eat and their salad bar, it appears that they are cheapening on their quality and have reduced quality... They provide so much food and you're like ‘How is that possible?’”

Since food prices have increased significantly, Pizza Hut's buffet-style service has become quite costly to maintain. Similarly, its outlets, which are being sliced from a large number to just over 60.

The business, similar to other firms, has also seen its costs increase. In April this year, labor expenses rose due to rises in minimum wages and an higher rate of employer taxes.

A couple in their thirties and twenties mention they used to go at Pizza Hut for a date “every now and then”, but now they choose another pizza brand and think Pizza Hut is “not good value”.

According to your order, Pizza Hut and Domino's prices are similar, explains an industry analyst.

Even though Pizza Hut does offer off-premise options through third-party apps, it is missing out to big rivals which solely cater to this market.

“Domino's has taken over the delivery market thanks to intensive advertising and constantly running deals that make customers feel like they're saving money, when in reality the base costs are on the higher side,” says the specialist.

However for the couple it is acceptable to get their evening together brought to their home.

“We absolutely dine at home now more than we eat out,” explains the female customer, matching recent statistics that show a drop in people visiting informal dining spots.

Over the summer, informal dining venues saw a notable decrease in diners compared to last summer.

Additionally, another rival to pizza from eateries: the cook-at-home oven pizza.

Will Hawkley, global lead for leisure at an advisory group, explains that not only have retailers been providing premium oven-ready pizzas for years – some are even selling pizza-making appliances.

“Lifestyle changes are also having an impact in the popularity of fast-food chains,” states the analyst.

The growing trend of low-carb regimens has boosted sales at grilled chicken brands, while hitting sales of high-carbohydrate options, he adds.

Since people visit restaurants not as often, they may seek out a more upscale outing, and Pizza Hut's classic look with booth seating and nostalgic table settings can feel more old-fashioned than premium.

The growth of premium pizza outlets” over the last 10 to 15 years, including boutique chains, has “fundamentally changed the general opinion of what quality pizza is,” says the culinary analyst.

“A crisp, airy, digestible pizza with a carefully curated additions, not the excessively rich, thick and crowded pizzas of the past. That, I think, is what's led to Pizza Hut's struggles,” she comments.
“Who would choose to spend a high price on a modest, low-quality, underwhelming pizza from a franchise when you can get a gorgeous, skillfully prepared traditional pie for under a tenner at one of the many real Italian restaurants around the country?
“It's an easy choice.”
A mobile pizza vendor, who runs a pizza van based in Suffolk comments: “It's not that lost interest in pizza – they just want improved value.”

He says his flexible operation can offer gourmet pizza at reasonable rates, and that Pizza Hut struggled because it failed to adapt with changing preferences.

According to an independent chain in Bristol, owner Jack Lander says the industry is broadening but Pizza Hut has neglected to introduce anything new.

“You now have slice concepts, regional varieties, thin crust, fermented dough, traditional Italian, rectangular – it's a delightful challenge for a pie fan to discover.”

He says Pizza Hut “needs to reinvent itself” as younger people don't have any sense of nostalgia or attachment to the chain.

Gradually, Pizza Hut's customer base has been fragmented and spread to its more modern, agile alternatives. To sustain its expensive staffing and restaurants, it would have to raise prices – which industry analysts say is difficult at a time when family finances are tightening.

The leadership of Pizza Hut's international markets said the acquisition aimed “to safeguard our guest experience and protect jobs where possible”.

It was explained its first focus was to continue operating at the surviving locations and off-premise points and to help employees through the restructure.

Yet with significant funds going into operating its locations, it likely can't afford to allocate significant resources in its delivery service because the market is “complicated and using existing external services comes at a price”, experts say.

But, he adds, reducing expenses by withdrawing from oversaturated towns and city centres could be a effective strategy to adjust.

Ruth Murphy
Ruth Murphy

A passionate web developer and tech enthusiast sharing knowledge and experiences in modern web technologies.